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A and B started business in partnership investing Rs. 20,000 and Rs. 15,000 respectively. After six months, C joined them with Rs. 20,000. What will be B's share in the total profit of Rs. 25,000 earned at the end of 2 years from the starting of the business?

Correct answer: A. Rs. 7500

  • A. Rs. 7500
  • B. Rs. 9000
  • C. Rs. 9500
  • D. Rs. 10,000
  • E. None of these

Explanation

A contributes Rs. 20,000 x 24 months = 480,000 Rs.-months, B contributes Rs. 15,000 x 24 months = 360,000 Rs.-months, and C contributes Rs. 20,000 x 18 months = 360,000 Rs.-months. The ratio is 4:3:3, so B's share is Rs. 25,000 x 3/10 = Rs. 7,500. A student may choose Rs. 9,000 by treating C as invested for the full 24 months.

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